Aldemore Invoice Finance UK is part of the Aldemore Group.
Aldemore are members of UK Finance which was formerly the Asset Based Finance Association (ABFA) which sets out standards and code of practice for all members. ABFA were absorbed into the UK Finance and represent around 95% of invoice finance providers.
Overview of Aldermore Invoice Finance
Aldemore started trading in 2009 and has over £1.84bn in lending to UK small to medium sized enterprises. As far as invoice finance is concerned they provide flexible invoice discounting and factoring facilities and have particular expertise in Construction and Trade finance.
From the outset they take the time to understand your business and will tailor make a facility for your company needs, possibly why they approve 90% of all applications. You will also be able to assess all up-front fees and costs before signing up this is not unique but it does demonstrate the company integrity.
Why Aldemore Invoice Finance?
Aldemore Invoice Finance flexibility allows confidential funding of your invoices so you can manage the collections with your own team. On the other hand you can decide to tap into Aldemore’s considerable expertise and allow them to manage collections. The choice is yours.
You will have dedicated support with your own relationships manager who will help you get set up on the Aldemore system. Once set-up you can view invoice transactions online and communicate with customers; upload invoices, see available funding and obtain up to a 90% advance within 24 hours of uploading an invoice. Your relationship manager is there to help you with any ongoing cash-flow challenges you may have.
If you have a fleet of commercial vehicles the fee free fuel card can reduce your company fuel costs so be sure to ask about that.
- Aldemore allows new start companies and a single debtor which is not usual as this increases the funding risk. Any risk there is can be nullified or at worst reduced by utilising the bad debt protection available. You can opt for a trial period typically between 3-6 months if this is a concern and are prepared to discuss stage payments unlike many other providers. This facility is usually seen in the construction or IT sectors.
- Aldemore will normally want a personal guarantee and expect the director to live in the UK and ideally have a family home. They will make exceptions for larger companies so worth asking if a concern. A point to note is that often only 10% of the debtor book personal guaranteed is claimed.
- Aldemore were named Finance Provider of the Year at the Credit Today Awards 2015 and Best Development Finance Provider at the Business Moneyfacts Awards 2015. They also won ‘Factor and Invoice Discounter of the Year’ at the 2014 NACFB awards.
Aldemore Construction Factoring/Invoice Discounting
Aldemore understands the construction sector and has a solid reputation in the invoice finance industry for its expertise. Following a conversation with your relationship manager they will design a package designed specifically for your company.
Aldemore’s relationship manager will assess your cash-flow needs and even take consideration application or stage payments, which is very unusual. This means your relationship manager will have a great understanding of your contracts so you always have someone to talk to and get advice from. Unfortunately there are few funders who will look at this area of staged payments or applications for payment.
This means Aldemore capitalises on its unique experience and they take more of the risk of late payments for any reason not you. This can mean the difference between your company surviving and not.
Aldemore additional support does not stop there as they will also provide quantity surveyors, dispute resolution and industry specific specialists if needed. So, you can see why Aldemore have the reputation they do in the construction sector.
This level of support is ongoing so very useful if you are new to the construction sector big time in particular.
- A construction product tailor made for you and your company
- You have access to staged or application for payments
- Access within 24 hours of your invoice being uploaded
- Online access to your own account so you can see what is happening 24/7 and communicate with debtors/customers
- Access to dedicated experienced construction support
- Peace of mind as your relationship manager may highlight potential issues before they arise
- Access to quantity surveyors, industry experts or dispute resolution if needed
- Understanding of your costs and fees up front
If you are in construction then Aldemore are a great company but there are alternative options such as Bibby and Ultimate Finance. Both have top-up facilities linked to the invoice finance which can boost cash-flow. These companies will also consider start-ups and pre-packs or Company Voluntary Arrangements.
Contract terms and fees as you can see from the link can be complex and vary widely between companies. These companies may also offer a trial period of 3 to 6 months so it’s worth checking.
Of course there are always new entrants to the market who may provide reduced charges to attract business too. Trying to find the right funding option for your invoices can be tremendously time consuming but there are options there too.
The most obvious choice may be to ask your own bank but this may be a mistake as many companies found in the last recession. The banks will usually want more reporting in place risk is increased when providing current account and invoice finance so be aware. Our recommendation is that you keep your banking and invoice finance separate to avoid increased risk to your company.
Another alternative would be to use our Business Expert funding algorithm compare 53 invoice finance providers to help identify the most appropriate funding option, and be put in touch with them. In addition you will be sent a 5 page report confirming the best three providers detailing everything you need to know to make a decision as to who to speak to.
Business Expert – because we know invoice finance.